Chapter Two is a paperback book exchange store. For each book trade, the buyer pays a $1 trade fee. Books that are sold and not traded cost half of their original purchase price. The store has total assets of $126,000, current assets of $40,200, and liabilities totalling $160,900. Its net sales equalled $35,000, and its net profit after taxes was $9,000. Calculate the store's net profit margin.
A) 27.7 percent
B) 21.7 percent
C) 7.1 percent
D) 25.7 percent
E) 22.4 percent

Question

Quizplus · Accepted Answer

The Answer of Chapter Two is a paperback book exchange store. For each book trade, the buyer pays a $1 trade fee. Books that are sold and not traded cost half of their original purchase price. The store has total assets of $126,000, current assets of $40,200, and liabilities totalling $160,900. Its net sales equalled $35,000, and its net profit after taxes was $9,000. Calculate the store's net profit margin.
A) 27.7 percent
B) 21.7 percent
C) 7.1 percent
D) 25.7 percent
E) 22.4 percent

Chapter Two Is a Paperback Book Exchange Store